Value-Based Pricing
Value-Based Pricing (VBP) aligns the price of a treatment with the value it provides to patients, healthcare systems, and society. Across multiple indications, a single price may not accurately reflect a medicine’s value, Indication-Based Pricing (IBP) allows different prices to be set for different indications.
The Broader Value of Existing Vaccines in the Fight Against COVID-19: Beware of Tunnel Vision
8 October 2020
As the world is figuring out how to deal with COVID-19, it is worth taking stock of the broader value that existing vaccines bring to societies…
Cornerstones of ‘Fair’ Drug Coverage
30 September 2020
In the focus on US drug prices, ICER has contributed thinking on determining when price aligns with patient benefits. Less debated is whether insurance coverage provides…
Establishing a Reasonable Price for an Orphan Drug
11 September 2020
Berdud, Drummond and Towse (2020) propose a method for establishing a reasonable price for an orphan drug. Assuming prices for drugs are set according to incremental…
Victor R. Fuchs Award for 2020 Goes to Patricia Danzon
23 June 2020
The American Society of Health Economists (ASHEcon) announced Patricia Danzon as recipient of the 2020 Victor R. Fuchs Award. This is given to an economist making…
OHE Authors Develop a Supply and Demand Model of Pharmaceutical Markets to Set Cost-Effectiveness Thresholds to Maximise and Distribute Social Welfare
15 June 2020
OHE authors develop a supply and demand model of pharmaceutical markets to analyse the social welfare distribution between consumers (payers) and developers (industry) to set an…
Indication-Based Pricing: Are We All Onboard?
12 May 2020
A move towards paying multiple prices for medicines (depending on what they are used for) could address a commonly cited problem in drug development and increase…
Augmenting Cost-Effectiveness Analysis for Uncertainty: The Implications for Value Assessment—Rationale and Empirical Support
14 April 2020
Research by OHE and the University of Washington into how uncertainty-related novel elements of value could be included in an Augmented Cost-Effectiveness Analysis has been published…
Financing and Scaling Innovation for the COVID Fight: A Closer Look at Demand-Side Incentives for a Vaccine
1 April 2020
A COVID-19 vaccine is needed now, but timelines (12-18 months) create large market risk. By the time a vaccine is ready, the crisis may have passed.…
Price Transparency: Good or Bad? What Does Literature and Theory Tell Us?
17 March 2020
Adrian Towse presented evidence that transparency of process reduced corruption and improved competition. Evidence was, however, against price transparency for on-patent medicines. It will reduce access…